Senate BillPassed first houseGovernment
SB 1044: Public contracts: Small Business Procurement and Contract Act.
What SB 1044 does, verified August 15, 2026
This bill aims to amend California's public contracts law to support small businesses. It allows state agencies and the California State University to award contracts to certified small businesses without competitive bidding, as long as the contract value is between $5,000 and $350,000. The current maximum value of $250,000 would be increased to $350,000. The director of general services would review and adjust the maximum value every two years to reflect changes in the consumer price index, starting from January 1, 2029.
Bill journey
✓IntroducedComplete
✓In CommitteeComplete
✓First Chamber FloorComplete
4Second ChamberCurrent
5GovernorPending
6ChapteredPending
Last action: August 13 hearing: Held in committee and under submission. (2026-08-13)Alert me
Author and sponsors
Full contact details, staff, and committees with Connect, $16/moUnlockRecent actions18 total · showing 5
| Aug. 13, 2026 | August 13 hearing: Held in committee and under submission. |
| Aug. 05, 2026 | August 5 set for first hearing. Placed on suspense file. |
| Jun. 24, 2026 | Read second time and amended. Re-referred to Com. on APPR. |
| Jun. 23, 2026 | From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (June 23). |
| Jun. 01, 2026 | Referred to Com. on E.D., G., & H.I. |
Latest bill textAmended version, June 24, 2026 · 875 words
| Amended IN Assembly June 24, 2026 |
CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION
Senate Bill
No. 1044
| Introduced by Senator Reyes (Coauthors: Senators Niello, Ochoa Bogh, Richardson, Seyarto, and Valladares) |
February 11, 2026 |
An act to amend Sections 14838.5 and 14838.64 of the Government Code, relating to public contracts.
LEGISLATIVE COUNSEL'S DIGEST
SB 1044, as amended, Reyes. Public contracts: Small Business Procurement and Contract Act.
The Small Business Procurement and Contract Act permits a state agency or the California State University to award a contract for goods, services, or information technology with an estimated value between $5,000 and $250,000 to a certified small business, including a microbusiness and a disabled veteran business enterprise, without complying with specified competitive bidding requirements.
This bill would increase the maximum estimated value of a contract for goods, services, services or information technology awarded pursuant to the act from $250,000 to $350,000. Commencing January 1, 2029, and biennially thereafter, the bill would require the Director of General Services to conduct a review of that maximum value, and would authorize the director to adjust that value to reflect changes in the California Consumer Price Index.
The people of the State of California do enact as follows:
SECTION 1.
Section 14838.5 of the Government Code is amended to read:14838.5.
(a) (1) Notwithstanding the advertising, bidding, and protest provisions of Chapter 6 (commencing with Section 14825) of this part and Chapter 2 (commencing with Section 10290) and Chapter 3 (commencing with Section 12100) of Part 2 of Division 2 of the Public Contract Code, a state agency may award a contract for the acquisition of goods, services, or information technology that has an estimated value(2) For purposes of paragraph (1), the following estimated values shall apply:
(A) For a contract for the acquisition of goods, an estimated value of greater than five thousand dollars ($5,000) but less than two hundred fifty thousand dollars ($250,000).
(B) For a contract for the acquisition of services or information technology, an estimated value of greater than five thousand dollars ($5,000) but less than three hundred fifty thousand dollars ($350,000).
(2)
(3)
Commencing January 1, 2029, and biennially thereafter, the Director of General Services shall conduct a review of the maximum estimated contract value specified in(b) In carrying out subdivision (a), a state agency shall consider a responsive offer timely received from a responsible certified small business, including a microbusiness, or from a disabled veteran business enterprise.
(c) If the estimated cost to the state is less than five thousand dollars ($5,000) for the acquisition of goods, services, or information technology, or a greater amount as administratively established by the director, a state agency shall obtain at least two price quotations from responsible suppliers whenever there is reason to believe a response from a single source is not a fair and reasonable price.
SEC. 2.
Section 14838.64 of the Government Code is amended to read:14838.64.
(a) (1) Notwithstanding any other law, including, but not limited to, the advertising, bidding, and protest provisions of Chapter 6 (commencing with Section 14825) of this part and Chapter 2.5 (commencing with Section 10700) and Chapter 3 (commencing with Section 12100) of Part 2 of Division 2 of the Public Contract Code, the California State University may award a contract for the acquisition of goods, services, or information technology that has an estimated value(2) For purposes of paragraph (1), the following estimated values shall apply:
(A) For a contract for the acquisition of goods, an estimated value of greater than five thousand dollars ($5,000) but less than two hundred fifty thousand dollars ($250,000).
(B) For a contract for the acquisition of services or information technology, an estimated value of greater than five thousand dollars ($5,000) but less than three hundred fifty thousand dollars ($350,000).
(2)
(3)
Commencing January 1, 2029, and biennially thereafter, the Director of General Services shall conduct a review of the maximum estimated contract value specified in(b) In carrying out subdivision (a), the California State University shall consider a responsive offer timely received from a responsible certified small business, including a microbusiness, or from a disabled veteran business enterprise.
Text of SB 1044 as amended, from the official record. Connect Plus keeps every version and highlights what changed.Compare versions